Investing.com – The U.S. dollar trimmed losses against its Canadian counterpart in choppy trade on Wednesday, pulling back from a two-week low after Greece’s parliament voted in favor of a harsh, five-year austerity plan.
USD/CAD pulled back from 0.9694, the pair’s lowest since June 16, to hit 0.9732 during early U.S. trade, still down 0.79% on the day.
The pair was likely to find support at 0.9669, the low of June 16 and resistance at 0.9823, the day’s high.
Greece’s parliament voted 155 to 138, with five members abstaining, in favor of ratifying unpopular austerity measures aimed at saving the country from defaulting on its debt, as violent protests continued outside parliament buildings.
The plan needed to pass for the indebted nation to secure a EUR12 billion tranche of bailout funds from the European Union and International Monetary Fund.
Earlier in the day, the Canadian dollar rallied after official data showed that Canadian core consumer price inflation rose more-than-expected in May, fanning speculation over a near-term interest rate hike by the country’s central bank.
Statistics Canada said its core consumer price index, which excludes volatile food and energy costs, rose by 0.7% in May, after advancing by 0.2% the previous month, surpassing expectations for a 0.2% increase.
CPI, including more volatile food and energy costs, rose 0.7%, outstripping expectations for a 0.3% increase.
The Canadian dollar was also higher against the euro, with EUR/CAD shedding 0.67% to hit 1.4004.
Later Wednesday, the U.S. was to publish industry data on pending home sales.
USD/CAD pulled back from 0.9694, the pair’s lowest since June 16, to hit 0.9732 during early U.S. trade, still down 0.79% on the day.
The pair was likely to find support at 0.9669, the low of June 16 and resistance at 0.9823, the day’s high.
Greece’s parliament voted 155 to 138, with five members abstaining, in favor of ratifying unpopular austerity measures aimed at saving the country from defaulting on its debt, as violent protests continued outside parliament buildings.
The plan needed to pass for the indebted nation to secure a EUR12 billion tranche of bailout funds from the European Union and International Monetary Fund.
Earlier in the day, the Canadian dollar rallied after official data showed that Canadian core consumer price inflation rose more-than-expected in May, fanning speculation over a near-term interest rate hike by the country’s central bank.
Statistics Canada said its core consumer price index, which excludes volatile food and energy costs, rose by 0.7% in May, after advancing by 0.2% the previous month, surpassing expectations for a 0.2% increase.
CPI, including more volatile food and energy costs, rose 0.7%, outstripping expectations for a 0.3% increase.
The Canadian dollar was also higher against the euro, with EUR/CAD shedding 0.67% to hit 1.4004.
Later Wednesday, the U.S. was to publish industry data on pending home sales.